(a) If the licensing agency denies an application for a license, or a license renewal, the agency will deliver to the applicant by hand or certified mail a notice of denial containing a summary of the reasons for denial of the application.
(b) If an application is denied, the applicant may reapply or may contest the denial as provided in the Administrative Procedure Act, AS 44.62.
(c) If the applicant decides to contest the denial, the applicant must appeal in writing, within 30 days after receiving the denial, to the director of the division of senior services in the Department of Administration or the director of the division of mental health and developmental disabilities in the Department of Health and Social Services, depending upon which agency denied the application. In the appeal petition, the applicant may request an oral hearing. If an oral hearing is not requested, the appeal will be decided on the basis of review of the original record and whatever additional documents and written argument the applicant presents with the appeal petition. The denial under (a) of this section serves as the statement of issues under AS 44.62.370. The decision of the director constitutes the
decision of the licensing agency for the purposes of reconsideration, under AS 44.62.540, and judicial
review, under AS 44.62.560.